PROVIDENCE – The 30 day-or-more mortgage delinquency rate in the Providence-Warwick-Fall River metropolitan area declined 1.1 percentage points year over year in May to 5.5 percent, according to a CoreLogic report released on Tuesday.
The area is following a national trend, as more and more homeowners are more current on their loans. Mortgages 30 days or more delinquent made up 4.5 percent of all U.S. home loans, a year-over-year decline of 0.8 percentage points.
“Strong employment growth and home price increases have contributed to improved mortgage performance,” said Dr. Frank Nothaft, chief economist for CoreLogic. “Early-stage delinquencies are hovering around 17-year lows, and the current-to-30-day past due transition rate remained low at 0.8 percent. However, the same positive economic conditions helping performance have also contributed to a lack of affordable supply, creating challenges for homebuyers.”
The Providence metro serious delinquency rate, mortgages in delinquency 90 or more days, declined 1 percentage point year over year to 2.6 percent of all mortgages.
The national serious delinquency rate is 2 percent, the lowest it has been since November 2007 after declining 0.6 percentage points year over year.
The Providence metro also saw a decline in the foreclosure inventory rate, which fell 0.4 percentage points year over year to 1 percent. The national foreclosure rate was also just ahead of the metro area, declining 0.3 percentage points to 0.7 percent.
While the Ocean State is following the general mortgage recovery, both the Providence metro area and Rhode Island state delinquencies and foreclosure rates performed worse in every reported category than the national average.
New England mortgage performance
New England, mortgages 30 days or more delinquent, May 2017:
- New Hampshire: 3.6 percent
- Vermont: 4.0 percent
- Massachusetts: 4.3 percent
- (National average: 4.5 percent)
- Connecticut: 5.5 percent
- Rhode Island: 5.5 percent
- Maine: 5.7 percent
New England, mortgages 90 days or more delinquent, May 2017:
- New Hampshire: 1.3 percent
- Vermont: 1.9 percent
- Massachusetts: 2 percent
- (National average: 2 percent)
- Rhode Island: 2.6 percent
- Connecticut:2.7 percent
- Maine: 3.1 percent
New England Foreclosure rate May 2017:
- New Hampshire: 0.4 percent
- (National average: 0.7 percent)
- Massachusetts: 0.8 percent
- Rhode Island: 1 percent
- Vermont: 1 percent
- Connecticut: 1.2 percent
- Maine: 1.5 percent
Chris Bergenheim is the PBN web editor.
